Finding 391539 (2023-002)

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Requirement
L
Questioned Costs
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Year
2023
Accepted
2024-04-01
Audit: 302016
Organization: City of Tucker, Georgia (GA)

AI Summary

  • Core Issue: Financial reports for the State and Local Fiscal Recovery Funds did not match actual costs for the periods ending 3/31/2023 and 6/30/2023.
  • Impacted Requirements: Compliance with reporting guidance aimed at ensuring accountability and transparency in fund usage.
  • Recommended Follow-up: The City should implement new procedures to ensure timely and accurate financial reporting, and maintain documentation for any necessary adjustments.

Finding Text

Criteria: The State and Local Fiscal Recovery Funds reporting guidance requires program and performance reporting to build public awareness, increase accountability, and monitor compliance of eligible uses. Condition: Costs reported on the 3/31/2023 and 6/30/2023 quarterly Project and Expenditure report submissions did not reconcile with amounts charged to the program for the period. Cause/Effect: Key line item amounts do not reconcile to amounts reported for the period. Auditor's Recommendation: The City should develop procedures to ensure that financial information relating to the program is identified timely and reported appropriately. Views of Responsible Officials and Planned Corrective Actions: The City disagrees with the finding. A project was determined to be ineligible and was adjusted accordingly in the third quarter report due October 30, 2023. The original first quarter submission report did not tie to the balance after the entries were made to reclass the expenditures. Staff was not able to recreate the report from the first quarter to tie to the ending balances charged to the fund as of June 30, 2023. When the original first quarter report was filed, the financial system expenditure reports reconciled to what was submitted. Finance Department personnel have established procedures to prevent the need for corrections and resubmissions to prior period quarterly Project and Expenditure submissions and will properly document the changes for verification if corrections occur.

Corrective Action Plan

Views of Responsible Officials and Planned Corrective Actions: The City disagrees with the finding. A project was determined to be ineligible and was adjusted accordingly in the third quarter report due October 30, 2023. The original first quarter submission report did not tie to the balance after the entries were made to reclass the expenditures. Staff was not able to recreate the report from the first quarter to tie to the ending balances charged to the fund as of June 30, 2023. When the original first quarter report was filed, the financial system expenditure reports reconciled to what was submitted. Finance Department personnel have established procedures to prevent the need for corrections and resubmissions to prior period quarterly Project and Expenditure submissions and will properly document the changes for verification if corrections occur.

Categories

Reporting Eligibility

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $3.29M
20.205 Highway Planning and Construction $157,680